The impact of Share of Voice (SOV) on B2B brands that you don’t know about.
There’s a massive shift in the way that the B2B market functions today. The influence B2B brands have on customers, pushing them to avail a service, almost mirrors that of a B2C market. But oddly, a good percentage of said B2B SME’s don’t invest in building their brand identity, as they should.
The concept of Share of Voice has been around for about 50 years now. Predominantly being used in B2C marketing, this rule of thumb for consumer companies has NEVER failed.
What is Share of Voice?
Share of voice is simply how much conversation you own with your target audience in comparison to your competitors (paid advertisements). With the rise of social media, this conversation is measured across the internet, wherever your audience can hear from your brand.
In B2C marketing SOV (Share of Voice) has a direct relationship with the growth of a brand. It is observed that brands that give SOV higher priority that SOM (Share of Market) tend to grow and brands that give importance to SOM over SOV, tend to eventually decline.
Now you might argue that B2C is a whole different ball game. But we are here to tell you otherwise.
Here’s the BIG SECRET!
A brilliant report by Marketing legends – Peter Weinberg and Jon Lombardo showed data that suggests, the impact of SOV on B2C brands is almost identical to that on B2B brands. In fact, in B2C companies 10% Extra Share of Voice causes market share to rise by 0.6% points per annum. Where are for B2B companies – the same figures cause the market share to rise by 0.7% points per annum!
Building brand identity may seem secondary to most companies in the B2B space. In early years their primary focus is short term sales activities and market share building. But the overall impact of having a constant dialogue with your audience is far better than any other organizational activity. A little focus on fame building never hurt.
Log onto www.renbdigital.com to see how we can play a role in your brand building strategies.